|
Report Date : |
24.06.2013 |
IDENTIFICATION DETAILS
|
Name : |
TELEDYNE TECHNOLOGIES INCORPORATED |
|
|
|
|
Registered Office : |
1049 Camino Dos Rios, |
|
|
|
|
Country : |
|
|
|
|
|
Date of Incorporation : |
23.08.1999 |
|
|
|
|
Legal Form : |
Public Company (NYSE = TDY) |
|
|
|
|
Line of Business : |
Subject provides electronic components, instruments, and communications products |
|
|
|
|
No. of Employees : |
9,630 |
RATING & COMMENTS
|
MIRA’s Rating : |
A |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
56-70 |
A |
Financial & operational base are regarded healthy. General
unfavourable factors will not cause fatal effect. Satisfactory capability for
payment of interest and principal sums |
Fairly Large |
|
Status : |
Good |
|
Payment Behaviour : |
No Complaints |
|
Litigation : |
Clear |
NOTES :
Any query related to this report can be made
on e-mail: infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List – March 31st, 2013
|
Country Name |
Previous Rating (31.12.2012) |
Current Rating (31.03.2013) |
|
United States |
A1 |
A1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
UNITED STATES - ECONOMIC OVERVIEW
The US has the largest and most technologically powerful economy
in the world, with a per capita GDP of $49,800. In this market-oriented
economy, private individuals and business firms make most of the decisions, and
the federal and state governments buy needed goods and services predominantly
in the private marketplace. US business firms enjoy greater flexibility than
their counterparts in Western Europe and Japan in decisions to expand capital
plant, to lay off surplus workers, and to develop new products. At the same
time, they face higher barriers to enter their rivals'' home markets than
foreign firms face entering US markets. US firms are at or near the forefront
in technological advances, especially in computers and in medical, aerospace,
and military equipment; their advantage has narrowed since the end of World War
II. The onrush of technology largely explains the gradual development of a
"two-tier labor market" in which those at the bottom lack the
education and the professional/technical skills of those at the top and, more
and more, fail to get comparable pay raises, health insurance coverage, and
other benefits. Since 1975, practically all the gains in household income have
gone to the top 20% of households. Since 1996, dividends and capital gains have
grown faster than wages or any other category of after-tax income. Imported oil
accounts for nearly 55% of US consumption. Crude oil prices doubled between
2001 and 2006, the year home prices peaked; higher gasoline prices ate into
consumers'' budgets and many individuals fell behind in their mortgage payments.
Oil prices climbed another 50% between 2006 and 2008, and bank foreclosures
more than doubled in the same period. Besides dampening the housing market,
soaring oil prices caused a drop in the value of the dollar and a deterioration
in the US merchandise trade deficit, which peaked at $840 billion in 2008. The
sub-prime mortgage crisis, falling home prices, investment bank failures, tight
credit, and the global economic downturn pushed the United States into a
recession by mid-2008. GDP contracted until the third quarter of 2009, making
this the deepest and longest downturn since the Great Depression. To help
stabilize financial markets, in October 2008 the US Congress established a $700
billion Troubled Asset Relief Program (TARP). The government used some of these
funds to purchase equity in US banks and industrial corporations, much of which
had been returned to the government by early 2011. In January 2009 the US
Congress passed and President Barack OBAMA signed a bill providing an
additional $787 billion fiscal stimulus to be used over 10 years - two-thirds
on additional spending and one-third on tax cuts - to create jobs and to help
the economy recover. In 2010 and 2011, the federal budget deficit reached
nearly 9% of GDP. In 2012 the federal government reduced the growth of spending
and the deficit shrank to 7.6% of GDP. Wars in Iraq and Afghanistan required
major shifts in national resources from civilian to military purposes and
contributed to the growth of the budget deficit and public debt. Through 2011,
the direct costs of the wars totaled nearly $900 billion, according to US
government figures. US revenues from taxes and other sources are lower, as a
percentage of GDP, than those of most other countries. In March 2010, President
OBAMA signed into law the Patient Protection and Affordable Care Act, a health
insurance reform that will extend coverage to an additional 32 million American
citizens by 2016, through private health insurance for the general population
and Medicaid for the impoverished. Total spending on health care - public plus
private - rose from 9.0% of GDP in 1980 to 17.9% in 2010. In July 2010, the
president signed the DODD-FRANK Wall Street Reform and Consumer Protection Act,
a law designed to promote financial stability by protecting consumers from
financial abuses, ending taxpayer bailouts of financial firms, dealing with
troubled banks that are "too big to fail," and improving
accountability and transparency in the financial system - in particular, by
requiring certain financial derivatives to be traded in markets that are
subject to government regulation and oversight. In December 2012, the Federal
Reserve Board announced plans to purchase $85 billion per month of
mortgage-backed and Treasury securities in an effort to hold down long-term
interest rates, and to keep short term rates near zero until unemployment drops
to 6.5% from the December rate of 7.8%, or until inflation rises above 2.5%.
Long-term problems include stagnation of wages for lower-income families,
inadequate investment in deteriorating infrastructure, rapidly rising medical
and pension costs of an aging population, energy shortages, and sizable current
account and budget deficits - including significant budget shortages for state
governments.
Source
: CIA
TELEDYNE LEEMAN LABS
6 Wentworth Drive, Hudson, NH
03051 – USA
Ph: 603-886-8400
Fx: 603-886-4322
This is a business name registered on January 9, 2012 under ID# 664211,
and owned by:
Company name: TELEDYNE TECHNOLOGIES INCORPORATED
Address: 1049 Camino Dos Rios, Thousand Oaks, CA 91360
- USA
Telephone: +1
805-373-4545
Fax: +1 805-373-4775
Website: www.teledyne.com
Corporate ID#: 3083054
State: Delaware
Judicial form: Public Company (NYSE = TDY)
Date incorporated: 08-23-1999
Stock: 37,366,630 shares issued & outstanding as
of 04-30-2013
Value: USD
0.01= par value
Name of manager: Robert
MEHRABIAN
Business:
Teledyne Technologies Inc. provides electronic components, instruments,
and communications products in U.S., Europe, Japan, and Canada.
Its Electronics and Communications division offers microwave components
and subsystems, high voltage connectors, and imaging sensors, among other
things. Its Systems Engineering Solutions division handles advanced technology
applications, software development, and manufacturing solutions for space,
military, environmental, and missile-defense markets.
Aerospace Engines and Components designs, develops, and manufactures
engines, engine controls, and aviation batteries.
Energy Systems offers hydrogen-gas generators and thermoelectric and
fuel-cell-based power sources for power plants, semiconductor manufacturing,
and other industrial processes.
Teledyne was founded in 1960 and is based in Thousand Oaks, California.
Last news:
June 13, 2013
Teledyne Technologies Inc. announced several executive promotions,
effective July 1, 2013.
Al Pichelli, Teledyne's current president & chief operating officer
of Teledyne's instrumentation and aerospace and defense electronics segments,
will become an executive vice president of Teledyne. Pichelli joined Teledyne
in 1980, and has held numerous general management roles of increasing
responsibility over the past 33 years. Pichelli will continue to be responsible
for the instrumentation and aerospace and defense electronics segments.
Rex Geveden, Teledyne's current president of the engineered systems
segment and president and CEO of Teledyne Scientific & Imaging, will also
become an executive vice president of Teledyne. Geveden joined Teledyne in
2007, following a 24 year career in space, defense, and energy industries, most
recently having held the position of associate administrator at the National
Aeronautics and Space Administration, where he functioned as the agency's chief
operating officer. Geveden will now be responsible for Teledyne's digital
imaging and engineered systems segments.
In addition, Tom Reslewic, currently president and CEO of Teledyne
LeCroy, will be given additional responsibility for Teledyne's environmental
and chemical measurement instrumentation businesses, and report to Al Pichelli.
Finally, Lisa Porter, currently senior vice president of Teledyne Scientific
& Imaging, will be promoted to president of Teledyne Scientific &
Imaging, and report to Rex Geveden.
EIN: 25-1843385
Staff: 9,630
Operations & branches:
At the headquarters, we
find a factory, warehouse and office, owned.
The Company maintains
several branches in the U.S.
Shareholders:
As of 03-31-2013, 84% of
the stock was held by institutional and mutual fund owners, including:
|
FMR, LLC |
10.39% |
|
Vanguard Group, Inc. (The) |
5.60% |
|
BlackRock Fund Advisors |
4.90% |
|
Wellington Management Company, LLP |
4.14% |
|
Price (T.Rowe) Associates Inc |
3.31% |
|
Harris Associates L.P. |
3.21% |
Management:
Robert Mehrabian serves as the Chief Executive
Officer and President of Teledyne Technologies Inc. at Continental Motors Inc.
Dr. Mehrabian serves as the Chairman, Chief Executive Officer and President of
Teledyne Gavia ehf.
He has been the President and Chief Executive
Officer at Teledyne Technologies Inc. since 1999. He serves as the Chairman,
Chief Executive Officer and President of Teledyne Odom Hydrographic Systems,
Inc. He serves as Chairman, Chief Executive Officer and President of Teledyne Technologies at
Teledyne Cormon Limited; Teledyne KW Microwave; Teledyne Energy Systems, Inc.
and of Teledyne Storm Products, Inc. He serves as the Chairman, President and
Chief Executive Officer of Teledyne Microelectronic Technologies. Prior to the
spin-off of Teledyne Technologies Inc. by ATI in November 1999, Dr. Mehrabian
served as the President and Chief Executive Officer of ATI's Aerospace and
Electronics segment from July 1999 to 2000. He served ATI in various senior
Executive capacities since July 1997. From 1997 to November 1999, he served as
an Executive Vice President and Segment Executive, Aerospace, Electronics and
Industrial, of Allegheny Teledyne Inc. Dr. Mehrabian served as an Senior
Advisor in manufacturing and high technology to many Fortune 500 companies.
Prior to ATI, he served as the President of Carnegie Mellon University from
1990 to June 1997. Dr. Robert Mehrabian serves as the Chairman of Teledyne
Technologies Inc. at Continental Motors Inc. Dr. Mehrabian has been the Chairman
of Teledyne Technologies Inc. since December 14, 2000. Dr. Mehrabian serves as
Chairman of the Board of Teledyne Instruments, Inc. He has been a Director at
LeCroy Corp. since August 2012, Teledyne Technologies Inc. since 1999, PPG
Industries Inc. since 1992 and Intelek Limited (alternate name Intelek plc)
since July 2, 2010. Dr. Mehrabian serves as a Director of Teledyne Odom
Hydrographic Systems, Inc., Teledyne Microelectronic Technologies, Teledyne
Instruments, Inc. He served as an Independent Director of Mellon Financial
Corp. since 1994. Dr. Mehrabian also served as a Director of the Center for
Materials Science of the Department of Commerce's National Institute of
Standards and Technology. He served as Director of The Bank of New York Mellon
Corporation since July 1, 2007 until April 12, 2011. He served as a Director of
BEI Technologies, Inc. since June 1997.
He served as a Director at Isco Holdings Inc., Isco
GmbH, Teledyne Reynolds International Inc., and Teledyne Reynolds Limited.
From 1975 to 1979, he was Professor of Metallurgy
and Professor of mechanical engineering at the University of Illinois in
Champaign-Urbana. He served as an Independent Director of The Bank of New York
Mellon Corporation from July 1, 2007 to April 12, 2011. He also holds eight
U.S. and more than 40 foreign patents. His awards include election to the
National Academy of Engineering, a Fellow and distinguished Life Member of the
American Society of Metals International (ASM), the Henry Marion Howe Medal of
the ASM and a Fellow and Leadership Award recipient of The Minerals, Metals and
Materials Society. He concluded his academic career at MIT as Associate
Professor in 1975.
His honorary degrees include a Doctor of Science
from Carnegie Mellon University and a Doctor of Humane Letters from Chatham
College.
Dr. Mehrabian holds B.S. and Sc.D. Degrees from the
Massachusetts Institute of Technology (MIT).
Susan L. MAIN is Sr. Vice President and CFO.
Subsidiaries
And partnership: Numerous
subsidiaries in the U.S. and worldwide.
On April 24, 2013, Teledyne Technologies Inc. announced unaudited
consolidated earnings results for the first quarter ended March 31, 2013.
For the quarter, the company reported net sales of $569.4 million against
$494.0 million a year ago. Income before income taxes was $53.0 million against
$51.1 million a year ago.
Net income was $39.8 million against $35.6 million a year ago.
Net income attributable to company was $40.4 million or $1.07 per
diluted share against $35.7 million or $0.96 per diluted share a year ago.
Net income from continuing operations was $35.7 million or $0.96 per
diluted share compared to $32.5 million or $0.87 per diluted share a year ago.
Cash used by operating activities was $56.7 million compared to $19.7
million a year ago. Capital expenditures for property, plant and equipment was
$16.3 million against $10.6 million a year ago. Free cash flow was $73.0
million against $30.3 million a year ago. Adjusted free cash flow (net cash used)
was $21.6 million against adjusted free cash flow (net cash from) of $2.2
million a year ago. The lower cash provided by operating activities in the
first quarter of 2013 primarily reflected a voluntary pretax $83.0 million cash
contribution to the domestic pension plan, compared with a voluntary pretax
$50.0 million cash contribution to the domestic pension plan.
The company ended the quarter with $649.7 million of net debt.
The company announced that based on its current outlook, the company's
management believes that second quarter 2013 GAAP earnings per diluted share
from continuing operations, including acquisition related expenses, will be in
the range of approximately $1.03 to $1.06.
The full year 2013 earnings per diluted share outlook, including
acquisition related expenses, is expected to be in the range of approximately
$4.47 to $4.51, an increase from the prior outlook of $4.42 to $4.46.
The company's effective tax rate for 2013 is expected to be 30.0%,
excluding retroactive adjustments.
On attachment:
- 10K 2012
- 1st 10Q 2013
Banks: Bank of New York Mellon
Bank of America
Legal filings & complaints:
As of today date, there are several legal filing pending with various
Courts, involving the Company as plaintiff or defendant.
Secured debts summary (UCC):
Several
Standard & Poor’s
|
United
States of America Long-Term Rating Lowered To 'AA+' Due To Political Risks,
Rising Debt Burden; Outlook Negative |
|
Publication
date: 05-Aug-2011 20:13:14 EST |
·
We have lowered our long-term
sovereign credit rating on the United States of America to 'AA+' from 'AAA' and
affirmed the 'A-1+' short-term rating.
·
We have also removed both the short- and long-term ratings
from CreditWatch negative.
·
The downgrade reflects our
opinion that the fiscal consolidation plan that Congress and the Administration
recently agreed to falls short of what, in our view, would be necessary to
stabilize the government's medium-term debt dynamics.
·
More broadly, the downgrade
reflects our view that the effectiveness, stability, and predictability of
American policymaking and political institutions have weakened at a time of
ongoing fiscal and economic challenges to a degree more than we envisioned when
we assigned a negative outlook to the rating on April 18, 2011.
·
Since then, we have changed our
view of the difficulties in bridging the gulf between the political parties
over fiscal policy, which makes us pessimistic about the capacity of Congress
and the Administration to be able to leverage their agreement this week into a
broader fiscal consolidation plan that stabilizes the government's debt
dynamics any time soon.
·
The outlook on the long-term
rating is negative. We could lower the long-term rating to 'AA' within the next
two years if we see that less reduction in spending than agreed to, higher
interest rates, or new fiscal pressures during the period result in a higher
general government debt trajectory than we currently assume in our base case.
TORONTO (Standard &
Poor's) Aug. 5, 2011--Standard & Poor's Ratings Services said today that it
lowered its long-term sovereign credit rating on the United States of America
to 'AA+' from 'AAA'. Standard & Poor's also said that the outlook on the
long-term rating is negative. At the same time, Standard & Poor's affirmed
its 'A-1+' short-term rating on the U.S. In addition, Standard & Poor's
removed both ratings from CreditWatch, where they were placed on July 14, 2011,
with negative implications.
The transfer and
convertibility (T&C) assessment of the U.S.--our assessment of the
likelihood of official interference in the ability of U.S.-based public- and
private-sector issuers to secure foreign exchange for
debt service--remains
'AAA'.
We lowered our long-term
rating on the U.S. because we believe that the prolonged controversy over
raising the statutory debt ceiling and the related fiscal policy debate indicate
that further near-term progress containing the growth in public spending,
especially on entitlements, or on reaching an agreement on raising revenues is
less likely than we previously assumed and will remain a contentious and fitful
process. We also believe that the fiscal consolidation plan that Congress and
the Administration agreed to this week falls short of the amount that we
believe is necessary to stabilize the general government debt burden by the
middle of the decade.
Our lowering of the rating
was prompted by our view on the rising public debt burden and our perception of
greater policymaking uncertainty, consistent with our criteria (see "Sovereign Government Rating Methodology and
Assumptions ," June 30, 2011, especially Paragraphs 36-41).
Nevertheless, we view the U.S. federal government's other economic, external,
and monetary credit attributes, which form the basis for the sovereign rating, as
broadly unchanged.
We have taken the ratings
off CreditWatch because the Aug. 2 passage of the Budget Control Act Amendment
of 2011 has removed any perceived immediate threat of payment default posed by
delays to raising the government's debt ceiling. In addition, we believe that
the act provides sufficient clarity to allow us to evaluate the likely course
of U.S. fiscal policy for the next few years.
The political
brinksmanship of recent months highlights what we see as America's governance
and policymaking becoming less stable, less effective, and less predictable
than what we previously believed. The statutory debt ceiling and the threat of
default have become political bargaining chips in the debate over fiscal
policy. Despite this year's wide-ranging debate, in our view, the differences
between political parties have proven to be extraordinarily difficult to
bridge, and, as we see it, the resulting agreement fell well short of the
comprehensive fiscal consolidation program that some proponents had envisaged
until quite recently. Republicans and Democrats have only been able to agree to
relatively modest savings on discretionary spending while delegating to the
Select Committee decisions on more comprehensive measures. It appears that for
now, new revenues have dropped down on the menu of policy options. In addition,
the plan envisions only minor policy changes on Medicare and little change in
other entitlements,
the containment of which
we and most other independent observers regard as key to long-term fiscal
sustainability.
Our opinion is that
elected officials remain wary of tackling the structural issues required to
effectively address the rising U.S. public debt burden in a manner consistent
with a 'AAA' rating and with 'AAA' rated sovereign peers (see Sovereign Government Rating Methodology and
Assumptions," June 30, 2011, especially Paragraphs 36-41). In
our view, the difficulty in framing a consensus on fiscal policy weakens the
government's ability to manage public finances and diverts attention from the
debate over how to achieve more balanced and dynamic economic growth in an era
of fiscal stringency and private-sector deleveraging (ibid). A new political
consensus might (or might not) emerge after the 2012 elections, but we believe
that by then, the government debt burden will likely be higher, the needed
medium-term fiscal adjustment potentially greater, and the inflection point on
the U.S. population's demographics and other age-related spending drivers
closer at hand (see "Global Aging 2011: In The U.S., Going Gray Will Likely
Cost Even More Green, Now," June 21, 2011).
Standard & Poor's
takes no position on the mix of spending and revenue measures that Congress and
the Administration might conclude is appropriate for putting the U.S.'s
finances on a sustainable footing.
The act calls for as much
as $2.4 trillion of reductions in expenditure growth over the 10 years through
2021. These cuts will be implemented in two steps: the $917 billion agreed to
initially, followed by an additional $1.5 trillion that the newly formed
Congressional Joint Select Committee on Deficit Reduction is supposed to
recommend by November 2011. The act contains no measures to raise taxes or
otherwise enhance revenues, though the committee could recommend them.
The act further provides
that if Congress does not enact the committee's recommendations, cuts of $1.2
trillion will be implemented over the same time period. The reductions would
mainly affect outlays for civilian discretionary spending, defense, and
Medicare. We understand that this fall-back mechanism is designed to encourage
Congress to embrace a more balanced mix of expenditure savings, as the
committee might recommend.
We note that in a letter
to Congress on Aug. 1, 2011, the Congressional Budget Office (CBO) estimated
total budgetary savings under the act to be at least $2.1 trillion over the
next 10 years relative to its baseline assumptions. In updating our own fiscal
projections, with certain modifications outlined below, we have relied on the
CBO's latest "Alternate Fiscal Scenario" of June 2011, updated to
include the CBO assumptions contained in its Aug. 1 letter to Congress. In
general, the CBO's "Alternate Fiscal Scenario" assumes a continuation
of recent Congressional action overriding existing law.
We view the act's
measures as a step toward fiscal consolidation. However, this is within the
framework of a legislative mechanism that leaves open the details of what is
finally agreed to until the end of 2011, and Congress and the Administration
could modify any agreement in the future. Even assuming that at least $2.1
trillion of the spending reductions the act envisages are implemented, we
maintain our view that the U.S. net general government debt burden (all levels
of government combined, excluding liquid financial assets) will likely continue
to grow. Under our revised base case fiscal scenario--which we consider to be
consistent with a 'AA+' long-term rating and a negative outlook--we now project
that net general government debt would rise from an estimated 74% of GDP by the
end of 2011 to 79% in 2015 and 85% by 2021. Even the projected 2015 ratio of
sovereign indebtedness is high in relation to those of peer credits and, as
noted, would continue to rise under the act's revised policy settings.
Compared with previous
projections, our revised base case scenario now assumes that the 2001 and 2003
tax cuts, due to expire by the end of 2012, remain in place. We have changed
our assumption on this because the majority of Republicans in Congress continue
to resist any measure that would raise revenues, a position we believe Congress
reinforced by passing the act. Key macroeconomic assumptions in the base case
scenario include trend real GDP growth of 3% and consumer price inflation near
2% annually over the decade.
Our revised upside
scenario--which, other things being equal, we view as consistent with the
outlook on the 'AA+' long-term rating being revised to stable--retains these
same macroeconomic assumptions. In addition, it incorporates $950 billion of
new revenues on the assumption that the 2001 and 2003 tax cuts for high earners
lapse from 2013 onwards, as the Administration is advocating. In this scenario,
we project that the net general government debt would rise from an estimated
74% of GDP by the end of 2011 to 77% in 2015 and to 78% by 2021.
Our revised downside
scenario--which, other things being equal, we view as being consistent with a
possible further downgrade to a 'AA' long-term rating--features less-favorable
macroeconomic assumptions, as outlined below and also assumes that the second round
of spending cuts (at least $1.2 trillion) that the act calls for does not
occur. This scenario also assumes somewhat higher nominal interest rates for
U.S. Treasuries. We still believe that the role of the U.S. dollar as the key
reserve currency confers a government funding advantage, one that could change
only slowly over time, and that Fed policy might lean toward continued loose
monetary policy at a time of fiscal tightening. Nonetheless, it is possible
that interest rates could rise if investors re-price relative risks. As a
result, our alternate scenario factors in a 50 basis point (bp)-75 bp rise in
10-year bond yields relative to the base and upside cases from 2013 onwards. In
this scenario, we project the net public debt burden would rise from 74% of GDP
in 2011 to 90% in 2015 and to 101% by 2021.
Our revised scenarios
also take into account the significant negative revisions to historical GDP
data that the Bureau of Economic Analysis announced on July 29. From our
perspective, the effect of these revisions underscores two related points when
evaluating the likely debt trajectory of the U.S. government. First, the
revisions show that the recent recession was deeper than previously assumed, so
the GDP this year is lower than previously thought in both nominal and real
terms. Consequently, the debt burden is slightly higher. Second, the revised
data highlight the sub-par path of the current economic recovery when compared
with rebounds following previous post-war recessions. We believe the sluggish
pace of the current economic recovery could be consistent with the experiences
of countries that have had financial crises in which the slow process of debt
deleveraging in the private sector leads to a persistent drag on demand. As a
result, our downside case scenario assumes relatively modest real trend GDP
growth of 2.5% and inflation of near 1.5% annually going forward.
When comparing the U.S.
to sovereigns with 'AAA' long-term ratings that we view as relevant
peers--Canada, France, Germany, and the U.K.--we also observe, based on our
base case scenarios for each, that the trajectory of the U.S.'s net public debt
is diverging from the others. Including the U.S., we estimate that these five
sovereigns will have net general government debt to GDP ratios this year
ranging from 34% (Canada) to 80% (the U.K.), with the U.S. debt burden at 74%.
By 2015, we project that their net public debt to GDP ratios will range between
30% (lowest, Canada) and 83% (highest, France), with the U.S. debt burden at
79%. However, in contrast with the U.S., we project that the net public debt
burdens of these other sovereigns will begin to decline, either before or by
2015.
Standard & Poor's
transfer T&C assessment of the U.S. remains 'AAA'. Our T&C assessment
reflects our view of the likelihood of the sovereign restricting other public
and private issuers' access to foreign exchange needed to meet debt service.
Although in our view the credit standing of the U.S. government has
deteriorated modestly, we see little indication that official interference of
this kind is entering onto the policy agenda of either Congress or the
Administration. Consequently, we continue to view this risk as being highly
remote.
The outlook on the
long-term rating is negative. As our downside alternate fiscal scenario
illustrates, a higher public debt trajectory than we currently assume could
lead us to lower the long-term rating again. On the other hand, as our upside
scenario highlights, if the recommendations of the Congressional Joint Select
Committee on Deficit Reduction--independently or coupled with other
initiatives, such as the lapsing of the 2001 and 2003 tax cuts for high
earners--lead to fiscal consolidation measures beyond the minimum mandated, and
we believe they are likely to slow the deterioration of the government's debt
dynamics, the long-term rating could stabilize at 'AA+'.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.59.35 |
|
|
1 |
Rs.92.11 |
|
Euro |
1 |
Rs.78.59 |
INFORMATION DETAILS
|
Report
Prepared by : |
PRL |
RATING EXPLANATIONS
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
>86 |
Aaa |
Possesses an extremely sound financial base with the strongest capability
for timely payment of interest and principal sums |
Unlimited |
|
71-85 |
Aa |
Possesses adequate working capital. No caution needed for credit
transaction. It has above average (strong) capability for payment of interest
and principal sums |
Large |
|
56-70 |
A |
Financial & operational base are regarded healthy. General
unfavourable factors will not cause fatal effect. Satisfactory capability for
payment of interest and principal sums |
Fairly Large |
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
|
11-25 |
Ca |
Adverse factors are apparent. Repayment of interest and principal sums
in default or expected to be in default upon maturity |
Limited with
full security |
|
<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
|
-- |
NB |
New Business |
-- |
This score serves as a reference to assess SC’s credit risk
and to set the amount of credit to be extended. It is calculated from a
composite of weighted scores obtained from each of the major sections of this report.
The assessed factors and their relative weights (as indicated through %) are as
follows:
Financial
condition (40%) Ownership
background (20%) Payment
record (10%)
Credit history
(10%) Market trend
(10%) Operational
size (10%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.